Don't Overlook Compliance: The Key to Better Buying for Contractors

Author: Josh Hebert
May 2, 2025 - 6 MIN. READ

Key takeaways:

• Compliance requirements are getting tougher to follow in the trades. The scope of what's covered keeps increasing.
• As a contractor, you should prioritize compliance to improve quality, manage risks, and access new opportunities, especially in the commercial market.
• You can take simple steps to build a strong internal compliance process.
• Raiven's network is a great tool for improving visibility over buying and ensuring you use compliant supplies.

Compliance requirements protect your business from potential losses, damage to your reputation, and legal liabilities.

They also ensure your customers receive quality workmanship and get top-performing electrical and HVAC equipment in their homes or commercial buildings.

Plus, procurement compliance aligns with key values, such as running an ethical business, putting quality first, and being transparent with customers.

However, implementing a compliance process that meets a wide range of (sometimes changing) requirements can be challenging. We're here to share tips on improving purchasing compliance and turning compliant buying into a competitive advantage.

Understanding the Growing Scope of Compliance in the Trades

Compliance is becoming more complex, and it's affecting your procurement process. When planning a new project, your procurement department has to account for several sets of standards and best practices, and buying requirements in the trades can change fast.

The scope of compliance also differs from one project to another, based on the customer and their industry.

Regulatory Compliance for Contractors

Standards exist at the federal, state, and local levels to guarantee quality and safety in the electrical and HVAC industries.

Examples include the National Electrical Code (NEC), National Fire Protection Association (NFPA) standards, and local building codes for electricians. For HVAC contractors, organizations like the Environmental Protection Agency (EPA) set the standards to follow. Plus, requirements from the Occupational Safety and Health Administration (OSHA) apply whenever you're on a jobsite.

Client-Level Requirements

In addition to meeting compliance requirements at the federal, state, and local levels, you must adapt to each client's unique expectations.

While a residential client will be primarily concerned about local building codes, client-level compliance can get complex with commercial customers:

• Some commercial property managers have to follow internal policies and quality standards.
• If you work in public buildings, you might have to comply with federal retrofit standards from the Department of Energy.
• LEED and Energy Star building certifications can add a layer of complexity to purchasing compliance if you work with a customer who is going after these building ratings.
• If a customer takes advantage of energy-efficiency incentives for a retrofit project, you might have to meet specific sourcing requirements outlined under the Buy American Act.
• For electrification projects like commercial EV charging, grants and other incentives sometimes require the sourcing of charging equipment.

Compliance doesn't just apply to the parts and supplies used. Commercial building managers usually have their own best practices for vetting contractors. Besides checking your license and insurance, they might look for additional quality assurance, such as a North American Technician Excellence (NATE) or American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) certification.

Quality, Risk Management, and Your Own Requirements

Compliance doesn't just come from the exterior; successful contractors have their own best practices to follow.

When it comes to buying, a compliant purchasing system might include:

• Internal quality standards for products and preferred vendors or buying platforms.
• Spending limits ensure you don't exceed budget with your purchase orders.
• Order fulfillment and shipping requirements so you can complete projects on time.
• Best practices for managing supplier relationships, evaluating supplier risks, and generally building a safe and resilient supply chain.
• Sourcing rules for picking local products and reducing the carbon footprint of your projects.

Once you have a compliance framework in place, you can scale your buying activities and grow while maintaining quality at scale.

Why Should Compliance Be a Priority for Your Contracting Business?

Putting compliance first means you always use high-quality supplies and reliable vendors. The electrical and HVAC systems you install are less likely to break down, saving your customers money and contributing to customer satisfaction (and, by extension, repeat business).

Procurement teams with a strong compliance framework also have a well-documented process they can share with potential customers. This process acts as a strong selling point, demonstrating tangible steps you're taking to ensure quality.

A compliant purchasing system is a strategic advantage in the commercial market. Maintaining maintenance and quality standards is an ongoing challenge for property managers, and compliance costs are up.

Positioning yourself as a trusted commercial building compliance partner can greatly lessen this burden and unlock new business opportunities. For instance, as an electrical contractor, you can offer a maintenance plan tailored to meet each building's NFPA 70B requirements.

How to Build Better Processes for Compliance

Improving compliance doesn't have to be complicated. These simple steps will result in a better buying process and improved risk mitigation across your entire business:

Remember to keep up with federal, state, and local regulations. Professional organizations like the National Electrical Contractors Association (NECA) and the Air Conditioning Contractors of America (ACCA) can help, and you can also use AI to summarize complex regulatory texts and extract what you need to know.

Add a discovery step to your project planning process so you can identify all the compliance requirements unique to a prospective customer.

You should also have a process in place to review your internal standards regularly and measure them against compliance metrics. Regular procurement audits can act as a starting point for improving contractors' buying compliance.

How Can Raiven Help Contractors With Purchasing Compliance?

Raiven's network brings together suppliers and contractors. Thanks to our convenient centralized platform, you can place all your orders in one place and boost visibility over your purchasing process.

For compliance purposes, tracking your buying and ensuring every part or supply meets your requirements becomes easier.

Streamlining buying also saves you time, allowing you to focus on better understanding your customers' compliance requirements when planning a project.